New fuel taxes?

[cowman]

I caught David Collenette on the news the other night suggesting Canada might need a new tax on fuel so the cities could keep the roads up. Now wait a minute....isn't that what the road tax was designed for? Right now the road tax goes into general revenues and little is spent on the roads! Alberta sent over $7 billion dollars to Ottawa over the last ten years and recieved $72 million back! That works out to 1%! And now they want some more?
Lately there have been all these horror stories on the news about pollution and changing weather patterns...the solution...more gas taxes! Are they softening us up for Kyota? Or does Bombardier need some new contracts mainly because Amtrax won't buy their shoddy junk?

[jwright]

If they're smart, they won't be softening you up for Kyoto, they'll be hardening you. We've had it pretty soft these last few years, with all the cheap fuel we wanted to burn. Most oil producing countries are now working on the last half of their oil resources, so Kyoto is the least of our worries.

[cowman]

With all the cheap fuel we wanted to burn? Is it cheap? In 1973 I sold calves at 37 cents a pound right off the cow. I paid 46 cents for a gallon of gas at the pumps. Today gas is 74 cents per liter or $3.36 per gallon. Now IF calf prices had followed gas prices then I would be getting $2.70/lb.! 600 lb. calf=$1620!
I wouldn't be leaving the cattle business!
If the road tax actually went to fix the roads, instead of line crooks pockets, we wouldn't need an extra tax. Why would anyone think this extra tax would be any different than the road tax? It's just like the cigarette taxes. Does anyone truly believe the government gives a rip about smokers? The fact of the matter is smokers are a cash cow just like us gas junkies.
I wouldn't get too worried about running out of oil. There are so many alternatives it is ridiculous. Don't believe everything the government tells you.
cowman

[jwright]

You bet fuel is cheap. Cheaper than coca cola, cheaper than bottled water. Your cow-calf example only demonstrates how badly you are now paid for your cattle. That NFU flyer that came out recently shows how underpaid farmers are, considering how much agricultural productivity has increased.

There aren't many alternatives. Solar power won't run your pickup. Coal is very expensive and destructive. Fusion is still a dream and always will be. What else were you anticipating? Natural gas? Yep, that the only one.

Don't believe everything the economists tell you. :-)